The Maine Public Utilities Commission today approved the terms of an agreement between the state and Maine Aqua Ventus, clearing the first major hurdle in the effort to build two turbines off Monhegan Island.

HALLOWELL, Maine (AP) _ Maine utility regulators have given the first nod to the University of Maine and its partner companies' proposal to build a 12-megawatt wind project off Maine's coast.

In a 2-1 vote Tuesday, the Maine Public Utilities Commission approved the terms of an agreement between the state and Maine Aqua Ventus, clearing the first major hurdle in the effort to build two turbines off Monhegan Island.

The project is expected to generate enough power for as many as 7,000 Maine homes, but will cost ratepayers roughly $9 more a year on their utility bills.

The vote comes nearly a year after the PUC gave initial approval to Norwegian company Statoil's own proposal for an offshore wind project. That project was spiked following maneuvering by Republican Gov. Paul LePage's administration.